Year 2020, Volume 12 , Issue 1, Pages 50 - 74 2020-06-08

Causality, Confounding, and Simpson’s Paradox

Asad ZAMAN [1] , Taseer SALAHUDDİN [2]


Bitter fighting among Christian factions and immoral behavior among Church leaders led to a transition to secular thought in Europe (see Zaman (2018) for details). One of the consequences of rejection of religion was the rejection of all unobservables. Empiricists like David Hume rejected all knowledge which was not based on observations and logic. He famously stated that: ““If we take in our hand any volume; of divinity or school metaphysics, for instance; let us ask, Does it contain any abstract reasoning concerning quantity or number? No. Does it contain any experimental reasoning concerning matter of fact and existence? No. Commit it then to the flames: for it can contain nothing but sophistry and illusion.” David Hume further realized that causality was not observable. This means that it is observable that event Y happened after event X, but it is not observable that Y happened due to X. The underlying mechanisms which connect X to Y are not observable. Current Article discusses the impact of changing causal structures on relationships and results of econometric analysis. it shows that conventional econometric analysis is devoid of causal chains which makes it impossible to get realistic results.
Causality, Causal structures, Confounders, Mediators
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Primary Language en
Subjects Economics
Journal Section Articles
Authors

Author: Asad ZAMAN
Institution: Ex- VC PIDE
Country: Pakistan


Author: Taseer SALAHUDDİN (Primary Author)
Institution: Government Sadiq College Women University, Bahawalpur
Country: Pakistan


Dates

Publication Date : June 8, 2020

Bibtex @research article { ier687042, journal = {International Econometric Review}, issn = {1308-8793}, eissn = {1308-8815}, address = {Şairler Sokak, No:32/C, Gaziosmanpaşa, Ankara}, publisher = {Econometric Research Association}, year = {2020}, volume = {12}, pages = {50 - 74}, doi = {10.33818/ier.687042}, title = {Causality, Confounding, and Simpson’s Paradox}, key = {cite}, author = {Zaman, Asad and Salahuddi̇n, Taseer} }
APA Zaman, A , Salahuddi̇n, T . (2020). Causality, Confounding, and Simpson’s Paradox . International Econometric Review , 12 (1) , 50-74 . DOI: 10.33818/ier.687042
MLA Zaman, A , Salahuddi̇n, T . "Causality, Confounding, and Simpson’s Paradox" . International Econometric Review 12 (2020 ): 50-74 <https://dergipark.org.tr/en/pub/ier/issue/54778/687042>
Chicago Zaman, A , Salahuddi̇n, T . "Causality, Confounding, and Simpson’s Paradox". International Econometric Review 12 (2020 ): 50-74
RIS TY - JOUR T1 - Causality, Confounding, and Simpson’s Paradox AU - Asad Zaman , Taseer Salahuddi̇n Y1 - 2020 PY - 2020 N1 - doi: 10.33818/ier.687042 DO - 10.33818/ier.687042 T2 - International Econometric Review JF - Journal JO - JOR SP - 50 EP - 74 VL - 12 IS - 1 SN - 1308-8793-1308-8815 M3 - doi: 10.33818/ier.687042 UR - https://doi.org/10.33818/ier.687042 Y2 - 2020 ER -
EndNote %0 International Econometric Review Causality, Confounding, and Simpson’s Paradox %A Asad Zaman , Taseer Salahuddi̇n %T Causality, Confounding, and Simpson’s Paradox %D 2020 %J International Econometric Review %P 1308-8793-1308-8815 %V 12 %N 1 %R doi: 10.33818/ier.687042 %U 10.33818/ier.687042
ISNAD Zaman, Asad , Salahuddi̇n, Taseer . "Causality, Confounding, and Simpson’s Paradox". International Econometric Review 12 / 1 (June 2020): 50-74 . https://doi.org/10.33818/ier.687042
AMA Zaman A , Salahuddi̇n T . Causality, Confounding, and Simpson’s Paradox. IER. 2020; 12(1): 50-74.
Vancouver Zaman A , Salahuddi̇n T . Causality, Confounding, and Simpson’s Paradox. International Econometric Review. 2020; 12(1): 50-74.